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Orora has succeeded in its grant application to support the planned construction of an oxygen-fuelled furnace at its glass manufacturing plant in Gawler, South Australia, receiving $12.5 million from the Federal government under the Modern Manufacturing Initiative (MMI).

Simon Bromell, Orora Beverage’s group general manager, said the company is very appreciative of the government’s support for this significant Australian-first project. 

“Our plan to introduce oxygen fuelled furnace technology to our site in Gawler, which would be a first for Australia, supports Orora’s ongoing commitment to reducing greenhouse gas emissions,” said Bromell. 

“This grant is an important step in achieving that plan, which we intend to progress through to 2024. 

“The project would also assist Orora to meet the growing demand from consumers for recycled and sustainable packaging, and support our wine industry customers to be competitive in their export markets.” 

Globally, Orora Group has committed to achieving net zero Scope 1 (direct) and Scope 2 (indirect emissions from purchased energy) greenhouse gas emissions across its operations by 2050. 

Orora also has an interim goal of a 40 per cent reduction from 2019 levels by 2035, and a target of 60 per cent recycled content for glass bottles by 2025.

The oxygen-fuelled furnace, which would replace existing furnace technology, would contribute to this goal together with the construction of a $25 million beneficiation plant at Gawler, which is expected to be commissioned in Q4 FY22.

Food & Drink Business

Western Australian producer, Brownes Dairy, has been put up for sale according to the Australian Financial Review (AFR), as one of its biggest lenders, China Mengniu Dairy, calls in its $200 million loan. A reduced demand for milk in China and the current positioning of the global market could be driving the decision.

The Central Coast is about to receive a boost to its local food and beverage manufacturing industry, with construction starting on the $17.14 million Food Manufacturing Innovation Hub, funded by the federal government’s National Reconstruction Fund (NFR).

The Australian Industry Group (Ai Group) says Australia is at a “critical crossroads” when it comes to R&D and decades of rhetoric have not delivered material change.